ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31,2009_part1 potx

This is trial version
www.adultpdf.com
HAMILTON COUNTY PARK DISTRICT
HAMILTON COUNTY, OHIO
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR
THE
YEAR ENDED
DECEMBER 31,2009
Prepared by the Accounting Division
JACK
L.
SUTTON
Director
REBECCA MCDONOUGH
Chief Financial Officer
This is trial version
www.adultpdf.com
HAMILTON COUNTY
PARK
DISTRICT
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED DECEMBER
31,2009
TABLE OF CONTENTS
INTRODUCTORY SECTION
Page No.
Letter of Transmittal

1

Certificate of Achievement. 8

Organization Chart
9

List of Principal Officials
10
FINANCIAL SECTION

Independent Accountants' Report
1
1

Management's Discussion and Analysis 13
Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net Assets

28

Statement of Activities .29
Fund Financial Statements:

Balance Sheet
-
Governmental Funds
3 1
Reconciliation of Total Governmental Funds
Balance to Net Assets of Governmental Activities

32
Statement of Revenues, Expenditures and Changes in Fund Balances

Governmental Funds .3 3
Reconciliation of the Statement of Revenue, Expenditures
and Changes in Fund Balances of Governmental Funds to the

Statement of Act~vit~es

34
Statement of Net Assets
-
Proprietary Fund

35
Statement of Revenues, Expenses and Changes in Net Assets

Proprietary Fund .3
6
Statement of Cash Flows
-
Proprietary Fund

37
Notes to Basic Financial Statements

38
This is trial version
www.adultpdf.com
FINANCIAL SECTION

(Continued)
Required Supplementary Information Section
General Fund
Schedule of Revenues, Expenditures and Change in Fund Balances
-
Budget and Actual
(Non GAAP Budgetary Basis.)

59
Mitchell Fund
Schedule of Revenues, Expenditures and Change in Fund Balances
-
Budget and Actual
(Non GAAP Budgetary Basis)

.


.
.






.


. . .

.
. .



.

.


.60
Notes to Required Supplementary Information
.
. . . . . .
.
.
.
.
.
. . . . . . . .
.
.
.
.
.
.
.
.
. . . . . . .

.
.
.
.
.
. .
.
.
.
,
. . .
. . . .
. . . . .
. . . . .
. . . .
.6
1
Other Supplementary Information
Combining Balance Sheet
-
Non-Major Governmental Funds

63
Combining Statement of Revenue, Expenditures and
Changes in Fund Balances
-
Non-Major Governmental Funds

64
Other Budgetary Information

Detailed Individual Fund Schedules of Revenues, Expenditures and Change
In Fund Balances
-
Budget and Actual (Non-GAAP Budgetary Basis):
General Fund by Department





.66
Non-Major Special Revenue Funds
. .
.
. . . .
. . . . .
.
. .
. .
. . .
.
.
. .
. . .
.
. . .
.
.
.
.

. .
.
. .
.
. . .
. .
.
.
.
.
.
.
. . .
.
. . .
.
. .
. .
. . . .
.
. .
.
.
.
-70
Capital Project Fund

76
Enterprise Fund Schedule of Revenues and Expenses by Department

78
STATISTICAL SECTION
Net Assets by Component
-
Last Seven Years (Accrual Basis of Accounting)

82
Changes in Net Assets
-
Last Seven Years (Accrual Basis of Accounting)

83
Fund Balances Government Funds
Last Seven Years (Modified Accrual Basis of Accounting)

85
Change in Fund Balances Government Funds
-
Last Seven Years
(Modified Accrual Basis of Accounting)

86
Computation of Legal
Debt Margin

.


.

,





87
Property Tax Levies and Collections,
Real, Utility and Tangible Property Taxes Last Ten Years

88
This is trial version
www.adultpdf.com
STATISTICAL SECTION (Continued)
Assessed and Estimated Actual
Value of Taxable Property, Last Ten Years

90
Property Tax Rates, all Direct and Overlapping

Governments, Last Ten Years
92
Demographic and Economic Statistics,
Last Ten Years

94
Principal Taxpayers

.95

Principal Employers
.96
Operating Indicators by Department

Administration
.97
Operating Indicators by Department
Safety, Naturalists, and Communication

98
Operating Indicators
by
Department,
In
Reach, Golf Management, Fishing and Boating, Riding Center,

Land
Acquisition, Other .99
Schedule of Insurance Coverage

101
Park
Facilities and Recreation Activities

103

This is trial version
www.adultpdf.com
INTRODUCTORY
SECTION
This is trial version
www.adultpdf.com
10245 Winton Road
Cincinnati, Ohio
4523
1
(5 13) 52 1-7275 GreatParks.org
Board
of
Park
Commissioners:
Robert
A.
Goering Nancy R. Harnant John
T.
Reis
Jack Sutton.
Executive
Director
To the Citizens of Hamilton County and the Board of Park Commissioners:
May
25,2010
We are pleased to submit the Comprehensive Annual Financial Report (CAFR) for the Hamilton
County Park Distnct (hereafter, also referred to as the
"Park
District"). This report conforms to

Accounting Principles Generally Accepted in the United States of America (GAAP) in
accordance with implementation of Govemnent Accounting Standards Board (GASB)
Statement No.
31
and provides full
and
complete disclosure of the financial position
and
operations
of
the
Park
District for the year ended December
3
1,
2009.
Responsibility for both
the accuracy of
the
data and the completeness and fairness of the presentation, including all
disclosures, rests with the
Park
District management. To the best of our knowledge, the
following data is accurate in all material respects and is reported in a manner designed to fairly
present the financial position of the entity as
a
~fhole and results of operations of the various
funds of the
Park
District. All necessary financial disclosures have been included to enable the

reader to gain
an
understanding of the
Park
District's financial activities.
G.4AP
requires that management provide a narrative introduction, ove~view and analysis to
accompany the basic financial statements in the form
of
a Management Discussion
and
-Analysis
(MDkA). The District's
MD&A
can be found immediately following the report of the
independent auditors.
Report Presentation
Financial statements of governmental organizations differ somewhat from the statements
prepared for profit-oriented organizations in that governmental organizations prepare statements
on a fund basis. In govenlmental accounting, the tern
"fund"
is used to identify a separate
accounting entity
with
its own assets, liabilities, revenues and expenditures or expenses, as
appropriate.
The
Park
District has established various funds to segregate activities in order to comply with
legal requirements, to better facilitate management control, and to satis@ the requirements of

GAAP.
The presentation of ths report and the financial statements contained herein are in
I
MISSION STATEMENT
"To preserve and protect natural resources and to provide outdoor recreatlon and
I
education in order to enhance the quality of l~fe for present and future generations."
This is trial version
www.adultpdf.com
collformance with principles established by the Governmental Accounting Standards Board
(GASB) and the American Institute of Certified Public Accountants (AICPA) through its various
pronouncements.
Reporting Entity
The Hamilton County Park District (Park District) was created in 1930 under authority of
Chapter 1545 of the Ohio Revised Code for the purpose of protecting local natural resources and
providing outdoor recreation. The Park District is governed by a three member Board of Park
Cornrnissioi~ers, each of whom is appointed to three-year terms by the Probate Court Judge of
Hamilton County and who serve without pay. The first Park Board took office on July 17, 1930.
The Board of Park Commissioners appoints a Director who is also the Chief Executive Officer.
The Director is responsible for executing policy of the Park Board. Since 1930, the Park District
has acquired and conserved over 16,052 acres of parkland and open space, including twenty-one
parks and nature preserves and 1,116 acres of conservation easements.
The Mission of the Hamilton County Park District is: "To preserve and protect natural resources
and to provide outdoor recreation and education in order to enhance the quality of life for present
and future generations."
Since its creation in the early 1930's, the Park District has relied on
a
combination of funding
derived from self-generated earned income sources and voter approved tax levies to fulfill its
mission.

County Structure
The Park District's base for its real estate tax levy revenue (approximately $18 million) is
Hamilton County. The County of Hamilton was named for the former Secretary of Treasury,
Alexander Hamilton, and was created by proclamation of Arthur St. Clair, Governor of the
Northwest Territory, on January
2,
1790. The County was the second county formed
in
the State
of Ohio, with Cincinnati as the County seat. The County is situated in the extreme southwestern
corner of the State and covers an area of 413 square miles. The County encompasses 49
municipalities, villages and townships, of which Cincinnati is the largest. The County is the
third largest in the State of Ohio in terms of population (855,062). Located on the Ohio River,
the County forms the core of the "Cincinnati Metropolitan Area," which includes the counties of
Hamilton, Warren, Clermont and Butler in Ohio, Dearborn and Ohio counties in Indiana and
Kenton, Campbell, Gallatin, Grant, Pendleton and Boone across the river in Kentucky.
The County Auditor serves as both the chief financial officer for the County and the real property
assessor for all political subdivisions within the County. The Auditor prepares the general tax
list of the County, calculates the voted and unvoted tax rates for real estate and personal property
and, once collected, distributes the tax receipts to the appropriate political subdivisions and
agencies within the County. The collection and distribution of tax levy proceeds is the only
senrice provided to the Park District.
This is trial version
www.adultpdf.com
Major
Initiatives
2009
The Park District acquired 202 acres of new parkland in 2009, bringng the total greenspace
preserved and protected to 16,052 acres. The Park District is pursuing the renewal of a 2
14

acre
lease in Kroger Hills with the Ohio Department of Natural Resources.
The Park District was awarded $891,312 from the State of Ohio's Clean Ohio Conservation
Program for a land acquisition and habitat restoration project. This funding was leveraged with a
portion of the Park District's one mill levy to expand Oak Glen Nature Preserve and restore
portions of the newly acquired property.
Throughout 2009, plans proceeded to extend the Little Miami Scenic Trail from the Little Miami
Golf Center in Newtown to Lunken Field in Cincinnati. The Park District is worlung with a
variety of stakeholders to ultimately extend the trail to the central riverfi-ont in downtown
Cincinnati.
Renovation and expansion of the Winton Woods Campground was completed May 22, 2009, in
time for the peak camping season.
The expansion included the construction of a new
campground store and office, road and parking lot improvements, development of new back-in
sites, pull-through sites and park model camping cabins. The project received the Ohio Parks
and Recreation Association's superior award for park development projects.
In conjunction with the expanded campground, Recreation Services launched a new online
reservation system in 2009. Now guests can make reservations and pay online at their
convenience from a home computer. Campers can see which sites are available and specifically
where their desired site is located within the campground.
In the fall of 2009, construction was completed on three aquaculture ponds at Miami Whitewater
Forest. The species targeted for production in the Aquaculture Program is the hybrid bluegill.
This project will enable fish to be stocked in Park District lakes at 25% of the cost on the live
fish market.
A
second phase of the project will allow fish to be spawned on site, which will
further reduce the cost of stocking our lakes. The first aquaculture pond will be stocked with
fingerling fish in 2010, with the final product being ready for stocking in 2012.
The Winton Woods Riding Center continued to be a leader in providing equestrian recreation for
disabled riders. In 2009, the Riding Center hosted the inaugural statewide Special Olympics

horse show and started a training program for Special Olympic riders in Hamilton County.
The Park District's Outdoor Education programs, including the Adventure Outpost Camp and
Parky's Fain, conducted
3,587
programs for 1 19,204 people in 2009.
The Park Distnct was the presenting sponsor of the 2009 fid's Outdoor Adventure Expo.
In
collaboration with Paddlefest, the Kid's Expo is one of the largest youth environmental
education events in the country that features dozens of local environmental organizations
offering hands-on activities for children. Over 1,700 kids from across the Cincinnati area
participated in the event.
This is trial version
www.adultpdf.com
Construction began in the fall of 2009 on two new playgrounds. Lake Isabella's Quarry Bluff
Playground features rock climbing with ropes and a "web" to crawl upon, slides, and tunnels.
The Breezy Point Playground at Woodland Mound features two eight-foot tall slides and
interactive game panels. The playgrounds will be completed and ready for guests to enjoy
beginning in the Spring of 2010.
A new sanitary sewer system was designed and construction began in order to connect Withrow
Nature Preserve's Highwood Lodge to the public sewer along Five Mile Road. This new service,
completed in early 2009, replaced the existing on-site sanitary sewer system.
Renovation and remodeling of the Sharon Woods Maintenance Compound was completed in
2009. Work included the replacement of
an
old metal truss roof covering the imgation reservoir
with a pre-stressed concrete roof structure and construction of a new pole barn.
Expansion of the Winton Woods Central Operations Warehouse was completed in 2009. The
project included the demolition of
a
barn, a 2,850 square foot addition to the warehouse, and

remodeling of existing office space.
One hundred and seventy-eight volunteers joined the Park District's volunteer program in 2009,
bringing the total number of volunteers to 656. These dedicated volunteers donated 59,497 hours
of volunteer service
in
a broad range of opportunities across the Park District. This year marked
the
3oth
anniversary of the volunteer program with five volunteers being honored for
30
years of
service.
Financial Information
The Park District's day-to-day accounting and budgetary records are maintained on a basis other
than GAAP. For financial reporting purposes, the accounting records are converted to a
modified accrual basis for all governmental funds and the accrual basis for proprietary and
entity-wide reporting. A further discussion of the two bases of accounting can be found in Note
1
-E to the financial statements.
Budgetary appropriations for the operation of the Park District's divisions are established
through the adoption of the annual Appropriation Resolution by the Board of Park
Commissioners. Budgetary control is facilitated through the maintenance of an encumbrance
system for purchase orders and through the use of the Park District's financial accounting
system.
The Park District maintains budgetary control within the organizational unit and fund by not
pennitting expenditures and encumbrances to exceed appropriations.
Various departments are
subject to performance budget reviews. Funds appropriated may not be expended for purposes
other than those designated in the Appropriation Resolution.
This is trial version

www.adultpdf.com
Items to be purchased costing under $1,000 do not require a formal bid. Purchases over $1,000
but under $24,999.99 must have specifications prepared and be bid out. Purchases exceeding
$24,999.99 must be legally bid out under Ohio Revised Code Sections 307.86 through 307.92 or
acquired through the State of Ohio purchasing program. Services of an accountant, architect,
attorney, physician, professional engineer, construction project manager, consultant, surveyor or
appraiser do not have to be bid out.
Internal Controls
In developing and revising the Park District's accounting and reporting control system,
management's consideration is given to the adequacy of intei-nal controls to provide reasonable,
but not absolute, assurance regarding:
safeguarding assets against loss from unauthorized use or disposition.
reliability of financial records for preparing financial statements and maintaining
accountability for assets.
The concept of a reasonable assurance recognizes that:
the cost of a control should not exceed the benefits likely to be derived
the evaluation of costs and benefits requires estimates and judgments by management.
All internal control evaluations occur within the above framework. The Park District's internal
accounting controls adequately safeguard assets and provide reasonable assurance
of
proper
recording of financial transactions. Initial responsibility for budgetary control rests with
individual departments. The department heads receive a monthly report coinparing budget and
cash receipts and expenditures.
The Accounting Division conducts internal cash audits at all revenue producing facilities within
the Park District. They performed 102 of these audits during 2009. Bank reconciliations are
completed by accounting personnel not authorized to sign checks.
Economic Outlook
The current economy has suffered a large decline over a relatively short period of time.
However, Hamilton County is making some good strides toward recovery. Hamilton County's

unemployment rate has climbed to
an
estimated average of 9.6% for 2009 and is expected to rise
slightly to 9.9% in 2010. The County's une~nploylnent rate has tracked close to the national
average. New residential construction has declined nearly 76% since 2005 to an estimated 3,100
units. Residential construction is expected to increase to 4,300 units in 2010 which is still well
below the decade-long average of 10,800 units. The population growth for Hamilton County is
expected to be below the regional trend for 2010 according to the Northern Kentucky Chamber
of Commerce's "201
0
Regional Economic Outlook".
This is trial version
www.adultpdf.com
Long-term Financial Planning
The Park District annually updates its 10-Year Operational Plan which forecasts budgeted and
projected revenues and expenditures for the duration of the current levy (20 17).
In addition, a 5-Year Capital Plan is updated to set guidelines for establishing project priorities.
The Park District's plan is to finance capital additions and the related future operating costs
without using debt.
Independent Audit
The firm of Burke
&
Schindler,
PLL
has been approved to perform the audits of the Park District
for 2006 through 2010. The unqualified opinion rendered by Burke
&
Schindler, PLL on the
District's basic financial statements, combining statements, and individual fund schedules, is
included in the financial section of this Comprehensive Annual Financial Report.

Awards
For the fifteenth year in a row, Meadow Links and Golf Academy was recognized as one of the
"Top 100 Ranges in America" for 2009 by Golf Range Magazine. Tnis National Award is based
on the facility's continued effort to be a vital part of the community. In addition, Meadow Links
was recognized as one of the "Top 10 Short Courses in America."
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement
for Excellence in Financial Reporting to the Park District for its comprehensive annual financial
report for the fiscal year ended December
3
1,2008. This was the eleventh year the Park District
received this prestigious award.
In
order to be awarded a Certificate of Achievement, the Park
District published an easy-to-read, efficiently-organized comprehensive annual financial report.
This report satisfies both accounting principles generally accepted in the United States of
America and applicable legal requirements.
A
Certificate of Achievement is valid for a period of one year. It is believed the current
comprehensive annual financial report continues to meet the Certificate of Achievement Program
requirements. It is being submitted to the GFOA to determine eligibility for another certificate.
Ohio Auditor of State Mary Taylor, CPA awarded the "Making Your Tax Dollars Count Award"
for excellence in financial reporting. This award recognizes the 2008 Comprehensive Annual
Financial Report (CAFR) as demonstrating the Park District's comrnitinent to careful spending,
accurate fiscal reporting and efficiency.
This is trial version
www.adultpdf.com